BYD plans to produce electric vehicles (EVs) in Vietnam and expects support from the country’s government to do so, the South-east Asian nation said following a May 5 meeting between Deputy Premier Tran Hong Ha and the automaker’s chairman and founder, Wang Chuanfu.
Wang expects Vietnam to create “favourable conditions” for BYD to complete investment procedures so it can quickly start making EVs to be sold locally and in other parts of South-east Asia, according to a report on a government website late Friday after the meeting in Hanoi. The company plans to form a local supply chain.
A BYD spokesperson confirmed by email the plans to make EVs in Vietnam. She didn’t provide any investment details.
BYD, China’s biggest EV brand, is building its first overseas production facility in Thailand. The Shenzhen-based company has been considering the Philippines and Indonesia for a new South-east Asia plant, in addition to Vietnam.
The company sold 210,295 vehicles in April, about double the number from a year earlier but only slightly higher than the previous month. While most sales come from China, BYD has been expanding overseas in Asia, as well as Europe and Latin America. Exports account for about 6 per cent of its EV sales.
BYD shares rose more than 2 per cent on Monday (May 8) morning in Hong Kong, boosted after the Chinese government again pledged to support the EV sector. BYD has rallied 25 per cent this year.
